Barratt back in black
Coalville-based Barratt Developments has returned to profit as average selling prices increased and after it acquired "high margin land".
The developer reported a 8.6 per cent hike in revenue to £952.8m for the half-year to 31 December 2011. Pre-tax profit was £21.6m - up from a pre-tax loss of £4.6m for the same period in 2010.
Barratt's average selling price also increased by 3.1 per cent to £181,200 with a private average selling price increasing up by 4.2 per cent to £199,900.
The business said it had recently acquired "higher margin land" which "continues to be brought into production and is expected to contribute more than one third of (the) financial year's completions".
Net debt was said to be £542.2m at 31 December 2011 was £542.2m and is forecast to be "lower than previously expected" at about £350m at 30 June 2012.
Mark Clare, group chief executive of Barratt Developments, said: "Over the last six months we have continued to improve the performance of the business, despite the wider economic uncertainty.
"We have delivered a further substantial increase in profits and recently acquired high margin land is now driving further recovery.
"We have again brought debt and land creditors in below expected levels.
"We have seen a strong start to 2012 and over the first seven weeks private reservations are running 21.8 per cent ahead of this time last year."
